Greenville County Council Considers Overhaul of Affordable Housing Policy Amid Rising Costs

Greenville County Council Eyes Changes to Affordable Housing Policy

Good morning, Greenville! Today, we’re diving into an important topic that affects many of us in the area—affordable housing. Let’s break it down.

Current Housing Challenges

As you may have noticed, housing in Greenville County has been a hot topic lately. With a steady influx of new residents and rising living costs, the need for affordable housing has never been greater. Since 2022, county and city officials have been working hard to make housing more attainable for everyone, particularly those in the low to middle-income brackets. One of the ways the county is tackling this issue is through tax incentives designed to encourage developers to include affordable housing units in their projects.

The McClaren, a newly completed building in downtown Greenville, is a lovely example of this initiative, adding 47 affordable units to the city’s landscape. But, just like any plan, issues have surfaced over the last couple of years. Recently, the County Council has started reconsidering these incentives amidst feedback from both developers and council members.

Critiques of the Current Plan

While the original incentive program aimed to improve accessible housing, some council members feel it might be time to hit the reset button. One of the key criticisms is that the current incentives might be too generous, inviting abuses of the system—what some are calling “double dipping.” This term refers to developers potentially benefiting from multiple layers of subsidies, including federal and state, at the same time.

Last week, council members got together to discuss revisions to the current policy. They have begun to talk about splitting the existing framework into two different programs: one focusing on affordable housing and the other on workforce housing.

Understanding the Proposed Changes

The proposed changes could lead to a more tailored approach. The affordable housing program would still provide incentives for projects with units designated for those earning 40 to 80 percent of the area median income (AMI), while the new workforce housing policy could target individuals making 60 to 120 percent of the AMI. As it stands, the AMI for Greenville County was noted at $77,200 in 2021.

With the new approach, if a developer includes workforce housing (essentially housing for middle-income individuals), they could still receive some tax breaks but at a lower rate than what is currently offered. For example, developers would be looking at a 20 percent tax break for including 20 percent workforce units, as opposed to the 50 percent break for affordable housing projects we see today.

A Glimpse into the Future

Councilman Butch Kirven has voiced his concerns on the matter, emphasizing that the property tax cuts are quite significant and need reevaluation. He points to the recent decision to deny incentives to Cherokee Landing, a project that was already receiving federal assistance but still sought local help. This decision underscores the council’s concern regarding whether these projects truly need the additional support.

As discussions continue, there seems to be a growing consensus that adding flexibility to how incentives are granted may help avoid future roadblocks. There’s talk of allowing the council to evaluate each development on its own merits, especially if a project includes a certain percentage of units aimed at families earning as little as 30 percent of the AMI.

What This Means for Greenville

The proposed changes to the affordable housing policy could be a significant shift in how Greenville County approaches the housing crisis. While it won’t change overnight, the willingness to adapt highlights the council’s commitment to addressing the community’s needs better. After all, having access to affordable housing is something every Greenville resident deserves.

We’ll be keeping an eye on this evolving situation, so stay tuned for more updates!

Until next time, Greenville, let’s stay informed and engaged!